Bank of America warns three of four market trip wires already triggered, S&P 500 hangs by a thread. BULL TRAP: Today’s bounce was a corrective 3-wave move within the bearish 3rd wave.

by

kristen shaughnessy
@kshaughnessy2
“Bank of America has a stark warning for stock investors”

“The stock market may be just one bad day away from forcing Washington and Wall Street to act.

That is the message Bank of America chief investment strategist Michael Hartnett sent to clients on Friday…..

The four market thresholds to watch

•S&P 500 below 6,600: A drop here would signal broad market stress and likely prompt a White House or Fed response.
(Only One Not Triggered)

•Oil above $100 per barrel: Brent crude was already trading just over $100 on Friday, March 13, http://Investing.com reported. Hartnett recommends fading oil at this level.

•Dollar index above 100: The DXY traded around 100.3 Friday, its highest since November, squeezing global liquidity.

•30-year Treasury yield above 5%: The long bond was yielding 4.9% Friday. Hartnett recommends buying Treasuries if yields breach that level.

Three of those four trip wires are already at or within inches of their thresholds.

The only one not yet triggered is the S&P 500 itself….”

https://thestreet.com/investing/stocks/bank-of-america-has-a-stark-warning-for-stock-investors